Royal Mail has recently confirmed that stamp prices will see another increase starting April 7.
As per the announcement, the cost of a first class stamp will see a 10p hike, reaching £1.80, while a second class stamp will go up by 4p, reaching 91p. This increase marks a significant jump from the 64p price of a first class stamp back in 2016, reflecting a 181% rise over the past decade.
Royal Mail attributed these price hikes to the escalating costs of delivery due to declining letter volumes and an increase in the number of delivery addresses.
However, the postal service is facing criticism for failing to meet its delivery targets consistently. The last time Royal Mail achieved its annual target for delivering first-class post on time was in the 2019-20 fiscal year.
To mitigate the impact of the price rise, individuals who frequently send letters can save money by purchasing stamps in bulk before the increase takes effect, especially if the stamps do not display a specific price but indicate the postage class.
Richard Travers, Royal Mail’s managing director of letters, emphasized the careful consideration given to price adjustments to balance affordability with the rising delivery costs. He noted that the average UK adult now spends only £6.50 annually on stamps, with a 70% reduction in the number of letters sent compared to two decades ago, despite a notable increase in the number of delivery addresses across the UK.
Anne Pardoe, head of policy at Citizens Advice, expressed concerns over Royal Mail’s failure to meet delivery targets, emphasizing the need for higher standards to accompany the price increases to align with the company’s performance.
Royal Mail, which was acquired by Czech billionaire Daniel Kretinsky’s EP Group for £3.6 billion last June, received approval from Ofcom last year to discontinue Saturday deliveries for second-class post. Additionally, the company will only deliver second-class post on alternate weekdays, instead of the previous six-day schedule, in select delivery offices as part of a trial. Despite these adjustments, Royal Mail aims to maintain a target of delivering second-class letters within three working days.